FI showroom red and grey logo
MenuMENU
SearchSEARCH

Congress Repeals Obsolete Insurance Booklet Mandate

The bipartisan bill that would eliminate the requirement that new-car dealers keep an insurance booklet on hand or face a hefty fine is headed to President Obama for his signature. The bill was approved by the U.S. Senate on Dec. 21.

by Staff
December 27, 2012
2 min to read


WASHINGTON — Senators approved on Dec. 21 a bipartisan bill, H.R. 5859, that eliminates the requirement that new-car dealerships keep an insurance booklet on hand or face a hefty fine.

The legislation, endorsed by the National Automobile Dealers Association (NADA), passed the House in late July and now goes to President Obama for his signature. The White House originally proposed eliminating the booklet in 2011, saying it was of little use to consumers.

Ad Loading...

“None of my customers has ever asked for this booklet. If my customers want accurate insurance information for their vehicles, they should contact their insurance agent, who can provide insurance quote over the phone or via the Internet,” said NADA Chairman Bill Underriner, a multi-franchise dealer from Billings, Mont. “The federal government has spent hundreds of thousands of dollars since 1991 to print and mail this booklet to every new-car dealer in America, yet very few consumers ever ask for it,” Underriner added.

In a survey of 815 of its members, the NADA found that 96 percent of dealers reported that none of their customers had ever asked to see the booklet.

In a 2011 directive to Congress on a highway and vehicle safety bill, the Obama administration said the data in booklet is “rarely used and not useful.” The administration also stated, “A prospective buyer does not need a brochure from the federal government to obtain this information, since insurance agents are trained to provide advice on how model selection affects insurance premiums.”

Under a 1972 law, the National Highway Traffic Safety Administration prepares, prints and mails the booklet, “Relative Collision Insurance Cost Information,” to new-car dealerships annually. Dealers are required to provide it to their customers upon request or face a $1,000 per violation fine.

The bill does not eliminate the government’s ability to make the insurance data available online or by other means.

Ad Loading...

“NADA supports this bill because it eliminates unnecessary red tape on small business dealerships,” Underriner said. “New-car dealers applaud the leadership of Sens. Amy Klobuchar, D-Minn., and Roger Wicker, R-Miss., and House sponsors Reps. Gregg Harper, R-Miss., and Bill Owens, D-N.Y., to remove this obsolete government mandate.”

More F&I

Man holding magnifying glass over sales volume paper.
F&IMay 29, 2026

Why Your F&I PVR Is Misleading You

Here’s a handy checklist of the numbers to track in 2026 instead.

Read More →
Photo of woman typing on a laptop as she sits on a couch
F&Iby Hannah MitchellMay 29, 2026

Auto Consumer Anxiety Presents Opportunity

A survey of U.S. drivers found the majority are concerned about finances and the economy, but those fears make many ready to buy vehicle-protection products.

Read More →
Dustin Gingerich standing on stage giving a presentation
F&Iby Lauren LawrenceMay 28, 2026

Humble and Hungry: 12 Rules for an F&I Life

Dustin Gingerich, with a decade in the F&I business under his belt, shares his thoughts on leadership, building trust with customers, and the importance of learning and innovation.

Read More →
Ad Loading...
Photo of businessman's hands resting on files on a desk
F&Iby John TabarMay 27, 2026

Focus on the Opening

F&I managers must learn as much as possible about their customers, starting before they walk into their offices. The bulk of today’s consumers expect that, and good results will follow.

Read More →
Photo of a three-seat vehicle back seat
F&Iby Hannah MitchellMay 22, 2026

F&I Reaches for the Sky

The increasingly important profit center continued making gains in the first quarter, according to StoneEagle data, ancillary products proving more popular as consumers hold onto their buys longer.

Read More →
Cover image for a BOK Financial report titled “Timing the market: How avoiding volatility entirely can hurt long-term reinsurance program performance.” The image shows several road construction barricades with flashing amber warning lights lined up in a nighttime work zone. Beneath the image, red text explains that avoiding volatility can mean falling behind inflation and missing market rebounds that drive long-term surplus growth. The BOK Financial logo appears at the bottom right.
SponsoredMay 8, 2026

Timing the Market Can Hurt Long-Term Program Performance

For dealer-owned reinsurance entities, avoiding volatility entirely can mean falling behind inflation and missing market rebounds that drive long term surplus growth. Missing just a handful of strong market days can materially impact cumulative returns—an important reminder for long horizon trust and investment strategies.

Read More →
Ad Loading...
Ryan Ruff, The 90/10 Rule, Automotive Training Academy, Sales Series
F&IMay 6, 2026

The 90/10 Rule

In this video, Ryan Ruff explains the rule that elite sales professionals use to turn ordinary conversations into unforgettable customer experiences.

Read More →
Photo of essential oil diffuser on desk next to laptop
F&IMay 4, 2026

Your Office Is Talking

What’s the atmosphere saying about you to your customers? You can make minor adjustments and additions that transform your space into one that creates trust with the people on the other side of the desk.

Read More →
"Effective training ensures the customer’s needs remain at the heart of everything we do. When that is the focus, both sales and profits naturally improve." by Rick McCormick with F&I and Showroom logo and picture of Rick McCormick
F&IMay 1, 2026

F&I Training Fundamentals

How can auto dealerships help F&I managers fulfill their vital role in the most effective ways? Industry expert Rick McCormick shares his insights on the best ways to train these professionals and help them maintain good habits.

Read More →
Ad Loading...
Photo of car tire and the tread mark it left in snow
F&Iby Hannah MitchellApril 29, 2026

Not Just Any Tire Will Do

More consumers and businesses are opting for all-season options for various reasons as safety, sustainability and convenience push practical change.

Read More →